Who doesn’t like to save money? That may sound like a trick question but it’s certainly not. When you bundle different types of insurance under a single provider, you inevitably save some money on your monthly premiums.
The most commonly combined insurance bundle is homeowners insurance and auto insurance. There are specific reasons for this, and it really does make sense.
Here are the basic benefits you stand to gain when buying car insurance and homeowners insurance from the same insurer.
1. Big Savings On Auto & Homeowners Insurance
You almost always save at least something by bundling your auto and homeowners insurance policies under one provider. How much will vary from insurer to insurer and from policy to policy. There are, of course, many factors that can impact the extent of the discount.
That said, you can normally save anywhere from 10% to 25% off the combined auto-homeowners premium. Oftentimes, the bigger discount is on the auto policy, but both policies see substantial savings.
Talk to an experienced insurance broker, and they will be able to guide you in finding ways to maximize the savings on both policies when you choose to combine them.
2. Bundling Can Extend To Your Whole Household
Keep in mind that cost savings via insurance bundling usually is extendable to your whole household.
That means that if you have, say, a teenage driver in your home, he or she can tap into the savings of the bundle deal of the parents. If your Mom, Dad, aunt, uncle, or other relative lives with you under one roof, they too can benefit from your decision to put your auto and home insurance under one roof.
3. Simplicity Is A Virtue!
Life these days has tended to get so complex, and anything you can do to simplify it is a positive thing.
It’s just easier to work with just one insurance company. You use the same phone number and other contact info, you talk to the same insurance agent, you see more similar rules and procedures across policies, and you may even pay only a single bill each month – simplifying check-writing or management of online payments.
Additionally, you can download and learn to use just one insurance app. And as helpful as apps are, having fewer of them to do the same job is a benefit. You can go to the same app or website to check up on and manage all of your insurance policies, saving you time.
4. You May Be Able To “Combine Deductibles”
Sometimes, if you so desire, you may be able to combine deductibles when you combine auto and homeowners insurance policies.
While each policy still has its own separate deductible, there are situations where bundling may allow you to use (and pay) just one of them. Let’s say, for example, that hail hits your home and your car parked in your driveway on the same day, damaging both. You could normally pay only one deductible instead of both (the higher deductible of the two policies would have to be paid.)
And there are other possible cost savings worked into many bundling deals by insurance providers. Any one of these specific situations may not be likely to occur, but combined, the risk is significant. (That means the benefit of bundling becomes significant at that point too.)
5. You Can Bundle Other Insurance Too
The same benefits that accrue from bundling your auto insurance with a homeowners insurance policy apply to other vehicle-related insurance types as well. In Florida, many buy motorcycle insurance, and that can be bundled for significant savings. And boat insurance is another key case in point.
Also, bundling renters insurance with auto insurance can get you almost as high of savings as with an auto-home insurance bundle. Finally, don’t forget about life insurance, pet insurance, business insurance, and more. The bigger the bundle, the bigger the savings and other benefits!
6. You Become A More Valuable Customer To Your Insurer
Last but not least, we should take a moment to see bundling from the opposite perspective – that of your insurer. Why do they want you to bundle to the point they are willing to give you a discount?
The more insurance they sell to one customer or household, the more valuable that particular customer or “customer block” becomes. They won’t want to lose you. That means you are less likely to have to worry about an insurer dropping you or seeing your premiums go up when you don’t expect it. Customer loyalty has its benefits, that’s the bottom line – and it works in both directions.
To learn more about homeowners insurance, auto insurance, various other insurance types, and about how you can benefit from buying them all from a single insurer, contact Flagler County (FL) Insurance Agency today and speak with an experienced, friendly insurance agent!